20 Mar The end of “trickle-down” tourism economics

As someone who came of age in the 80s, I have spent my entire life waiting to see the benefits of trickle-down economics. The consensus these days seems to be that I shouldn’t hold my breath in anticipation of those policies creating the outcomes that were promised.

But we can learn from the past. And it hasn’t been lost on me that many of the thought leaders I followed in the 80s and 90s – Kotler, Porter, and Senge, to name a few – have all advocated for interventions that seek to solve social or environmental issues. It seems that unleashing the power of the market also means guiding that power to reach desired goals – not just expecting it will happen. It’s not taking away the wind but trimming the sails to reach your destination.

So why do so many people in tourism seem to believe in “trickle-down tourism economics”. Tourism is often touted as a means of increasing employment, celebrating culture, preserving heritage.

And it can.

But those positive outcomes do not just happen. The benefits of tourism don’t automatically “trickle-down” to everyone in the system.

We can only achieve the best outcomes of tourism through deliberate programs and policies. Sustainable tourism is a complex, complicated activity, and it takes work. Doing the work will ensure that we achieve positive outcomes for destination communities and travelers.